Majority of Africans Yet to Embrace Cryptocurrency Ownership, with High-Earning Millennials Leading the Way
A recent report by Kasi Insight, a Kenyan data and insights provider, sheds light on the state of cryptocurrency ownership in Africa. The study found that a significant majority, 82%, of Africans have never owned any form of cryptocurrency. Among those who have embraced cryptocurrencies, high-earning millennials constitute the primary demographic.
The remaining 18% is divided between individuals who previously owned cryptocurrencies but no longer do (10%) and those who currently possess digital assets (8%).
The data was collected from a survey conducted in 19 countries across the continent.
Surprisingly, the report reveals that poorer African countries have shown a higher adoption rate of cryptocurrencies compared to wealthier nations like South Africa and Kenya.
The study suggests that countries such as Namibia and Angola have demonstrated greater awareness, usage, and adoption of cryptocurrencies, despite not being known as prominent participants in the African crypto market.
According to the report, Africa as a whole seems to be going through a phase of limited interest in cryptocurrencies. The volatile and decentralized nature of cryptocurrencies poses regulatory challenges for most governments. In fact, the report highlights that 20% of sub-Saharan African countries have banned crypto assets.
The study also highlights the influence of income on cryptocurrency ownership in Africa. Respondents with disposable incomes ranging from $1,800 to $4,500 or more showed a strong interest in cryptocurrencies, with 87% of this group owning digital assets.
Conversely, only 25% of respondents earning less than $1,800 were crypto owners.
The report reveals that the majority of Africans embracing cryptocurrencies are millennials, with men being the dominant gender among crypto investors.
The breakdown by generational cohorts shows that millennials own 60% of the crypto assets in Africa, followed by Gen X (20%), Gen Z (19%), and Baby Boomers (1%).
Bitcoin remains the most popular cryptocurrency in Africa, with 54% of the crypto community on the continent invested in it. Binance ranks second with a 33% adoption rate.
Ethereum, Dogecoin, and Onecoin have moderate adoption rates at 27%, 21%, and 18% respectively. Other lesser-known assets collectively account for the remaining 7% of the African crypto market, with Solana leading with a 17% share.
The report also reveals a prevailing sentiment of skepticism toward cryptocurrency among the adult population in Africa.
Over the next five years, only 17% of adults expressed trust in cryptocurrencies, while 49% displayed distrust and 34% remained neutral. Among non-crypto users, 56% expressed distrust, whereas only 11% showed trust, with 34% remaining neutral.
Angola and Namibia emerged as the leading countries in terms of crypto adoption, demonstrating a higher prevalence of cryptocurrency usage compared to their counterparts in Africa.
